What to do with your PARA/HKO Tokens
Check Glossary for the meaning of terminologies.
PARA
Parallel ($PARA) is the native token of the Parallel’s Polkadot parachain — Parallel Finance. It is required to execute the functionalities and security of our protocol. It can also be maximized to meet your investment goals. Below are some of the things you can do with your PARA token:
1) Transaction fee
You need to have Para to pay transaction fees when you sign transactions on Parallel Heiko DeFi Dapps. For example when you use the AMM, Money Market or Stake your KSM.
2) AMM (Automated Market Marker) — “Swap”
- Set the exchange direction e.g PARA to DOT
- Select PARA and enter the amount of PARA you will like to exchange for DOT and hit the “Swap” button.
You can swap PARA to DOT: sDOT; cDOT-6/13; cDOT-7/14 — the numbers next to the derivative tokens, e.g cDOT-6/17 represents the batch of the cDOT.
- Next sign your transaction and you’ve successfully swapped your PARA.
3) Providing Liquidity
After that, you can click the Liquidity tab on the Swap interface to provide PARA liquidity and earn yield via liquidity fee.
- Click the Liquidity Tab
- Select PARA and enter the amount of PARA you will like to add to the Liquidity. Finally, sign the transaction as usual.
By the way, you will receive LP tokens which you can use in our Money Market to increase your capital.
3) Money Market
Money Market is a DeFi protocol that allows users to put their idle assets to work — enabling them to borrow money by supplying collateral to the market and allowing others to deposit (lend) their assets to earn yield and compound their rewards. Here are the steps to follow to use the money market:
- Select the PARA to Lend
- You will earn an estimated Para farm reward for supplying your asset. Rewards can be claimed from your dashboard.
- You can also use Borrow utility, but you need to supply an asset (e.g. KSM) as collateral before you can borrow HKO.
HKO
Heiko token is the native token of Parallel Heiko, the sister parachain of Parallel Finance that was launched on Kusama network. It is required to pay for transactions, execute functionalities, secure the protocol, and its use can be maximized to meet your investment goals. Below are some of the things you can do with your HKO token:
1) Transaction fee
You need to have HKO to pay transaction fees when you sign transactions on Parallel Heiko DeFi Dapps. For example when you use the AMM, Money Market or Stake your KSM.
2) AMM (Automated Market Marker) — “Swap”
The AMM is the automated market maker of the Parallel Heiko protocol. With it, users can carry out non-custodial exchange or swap their token for another in a decentralized fashion. To use the AMM, you follow the steps below:
- Set the exchange direction e.g HKO to KSM
- Select HKO and enter the amount of HKO you will like to exchange for KSM and hit the “Swap” button.
- Next sign your transaction and you’ve successfully swapped your HKO.
3) Providing Liquidity
After that, you can click the Liquidity tab on the Swap interface to provide HKO liquidity and earn yield via liquidity fee.
- Choose Liquidity
- Select HKO and enter the amount of HKO you will like to Add to the Liquidity. Finally, sign the transaction as usual.
You will receive LP tokens which you can use in our Money Market to compound your reward.
4) Money Market
Parallel Heiko Money Market is the native decentralized money market of the Kusama-based DeFi super Dapps protocol that offers lending and borrowing functionalities. You can use lend your Heiko token to the money market to earn lending reward or supply it as collateral to the market to borrow another asset. Follow the steps below to use the Money Market.
- Select HKO on the lend tab
- You will earn an estimated HKO farming reward for supplying your asset. Farming rewards can be claimed from your dashboard.
- You can also provide collateral with HKO to borrow other assets like KSM.
About Parallel Finance
Parallel Finance is a user-focused DeFi protocol that has evolved into a hub for DeFi use cases and solutions. It features a highly secure suite of DeFi super dapps that include Staking and v2 Decentralized Crowdloan. The platform is committed to building a decentralized future that empowers the community to increase DeFi capital efficiency, security, and accessibility.
We are also one of the largest parachains in the Polkadot space with over $700M+ TVL and 200K+ active users, and we are backed by some of the most accomplished investors in venture capital and veterans of the financial services space, including Sequoia, Founders Fund, Coinbase, Polychain, etc.
Parallel Finance has a rapidly growing, close-knit team of 90+ professionals. Their backgrounds combine technology expertise with decades of experience in product management, finance, and marketing, coming from top organizations including The World Bank Group, Dash, Crypto.com, ChainLink, Meta, Polygon, Ledger, JP Morgan, Standard Chartered, Amazon, BlockFi, etc., and we’re still hiring.
